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United States yearbook - 1982 (1)

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372 Labor Force, Employment, and Earnings<br />

Labor fo rc e .—According to CPS definitions, the total labor force comprises the Armed Forces<br />

and the civilian labor force. The latter comprises all civilians in the noninstltutional population 16<br />

years and over classified according to the criteria below: Employed persons comprise (a) all civilians<br />

who, during the reference week, did any work for pay or profit (minimum of an hour’s work) or<br />

worked 15 hours or more as unpaid workers In a family enterprise, and (b) all persons w ho were<br />

not working but who had jobs or businesses from which they were temporarily absent for noneconomic<br />

reasons (illness, bad weather, vacation, labor-management dispute, etc.). Unemployed persons<br />

comprise all civilians who had no employment during the reference week, who made specific<br />

efforts to find a job within the previous four weeks (such as applying directly to an employer, or to a<br />

public employment service, or checking with friends) and who were available for work during that<br />

week. Persons on layoff from a job or waiting to report to a new job within 30 days are also classified<br />

as unemployed. All other persons, 16 years old and over, are “ not in the labor force.”<br />

Beginning in <strong>1982</strong>, changes in the estimation procedures and the introduction o f 1980 census<br />

data caused substantial increases in the population and estimates of persons in all labor force categories.<br />

Rates on labor force characteristics, however, were essentially unchanged. In order to<br />

avoid major breaks in series, some 30,000 labor force series were adjusted back to 1970. The<br />

effect of the <strong>1982</strong> revisions on various data series and an explanation of the adjustment procedure<br />

used are described in "Revisions in the Current Population Survey in January <strong>1982</strong>” , in the February<br />

<strong>1982</strong> issue of Employment and Earnings. The revisions did not, however, sm ooth out the<br />

breaks in series occurring between 1972 and 1978 that are described above, and data users<br />

should make allowances for them in making certain data comparisons.<br />

Hours and earnings.—Average hourly earnings, based on establishment data, are gross earnings<br />

(i.e., earnings before payroll deductions) and include overtime premiums; they exclude irregular<br />

bonuses and value of payments in kind. Hours are those for which pay was received. W ages and<br />

salary from the CPS consist of total money received for work performed by an employee during the<br />

income year. It includes wages, salary, Armed Forces pay, commissions, tips, piece-rate payments,<br />

and cash bonuses earned before deductions were made for taxes, bonds, union dues, etc. Persons<br />

who worked 35 hours or more are classified as working full-time (see table 644).<br />

Industrial and occupational g ro u p s.— Establishments responding to the establishm ent survey<br />

are classified into Industries on the basis of their principal product or activity (determined by annual<br />

sales volume) in accordance with the Standard Industrial Classification (SIC) Manual, O ffice o f Management<br />

and Budget; 1972 is the latest issue. The SIC is a classification structure fo r the entire<br />

national economy. The structure provides data on a division and industry code basis, according to<br />

the level of industrial detail. For example, manufacturing is a major industrial division; food and kindred<br />

products (code 20) is one of its major groups. One of the ways this group is further divided is<br />

into meat products (code 201) and meat packing plants (code 2011). Periodically, the SIC is revised<br />

to reflect changes In the industrial composition of the economy.<br />

Changes in occupational and industry groupings used in classifying data from the CPS household<br />

Interviews were caused by the comprehensive revision in classification of occupations and industries<br />

for the 1970 census, and from inclusion of a question on major activities or duties in the December<br />

1971 CPS. As a result, comparisons of occupational employment levels between 1971-<br />

1972 and prior periods and between those two years should be made with caution. The 1972 data,<br />

however, are comparable with those for later years.<br />

P roductivity.— BLS publishes measures of productivity under two major programs which measure<br />

the relationship between production and one factor of input, labor time. The first program Is<br />

concerned with measures relating to private business as a whole and its various subsectors; the<br />

second provides measures for selected specific industries and various functional areas of the Federal<br />

civilian government. Data for the first program are published quarterly in the BLS press releases,<br />

Productivity and Costs: Private Business, Nonfarm Business, and Manufacturing Sectors,<br />

and Productivity and Costs: Nonfinanciai Corporate Sector. Data for the second program are published<br />

annually in the BLS Bulletin, Productivity Indexes for Selected Industries. Conceptual and<br />

background information concerning the Federal-sector measures appears in Monthly Labor Review,<br />

Nov. 1974. Detailed information on methods, limitation, and data sources for both programs appears<br />

in BLS Handbook of Methods, BLS Bulletin 1910 (1976), chapters 30 and 31.<br />

Labor tu rn o ve r.— Labor turnover is the gross movement of wage and salary workers into and<br />

out of employed status with respect to individual establishments. This movement, relating to a calendar<br />

month, is divided into two broad types: Accessions (new hires and rehires), and separations<br />

(quits, layoffs, and terminations). The data cover all workers, temporary or permanent, and full- or<br />

part-time.<br />

Unions.— As defined here, unions include all affiliates of the AFL-CIO, all unaffiliated national<br />

unions, and all unaffiliated unions which are party to collective bargaining agreements w ith different

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